Kolkata: The West Bengal government today offered a boost to the housing sector which has been suffering from a slowdown since demonetization by allowing a staggered payment of stamp duty on the value of a property over a period of four years.
Moving the Finance Bill in the Assembly, state Finance minister Amit Mitra said as an effect of demonetisation, middle class people were finding it difficult to buy flats as they have to pay seven per cent stamp duty on the value of the property on the date of booking a flat or a housing property.
As such, the government has decided to reduce the payment of stamp duty on the date of booking to two per cent and the rest five per cent can be paid in four years from the date of booking, Mitra said in the state Assembly.
He clarified that the amount of money involving the rest five per cent would not change on any future variation of property value during the said next four years by which the remaining stamp duty can be paid and would be fixed at the IDR value on the date of booking.
Mitra said a composition scheme was being introduced for small businesses wherein they would have to do only one audit of their accounts. Presently small businesses have to do two audits, wherein they have to submit one audited report for Income Tax filing and another for state taxes.
From now on, small businesses can file the same audited report to the state, which they file with the IT department to ensure ease of business, the minister said.
He said to further boost small traders, Entry Tax would be abolished for those having an annual inter-state trade of below Rs 20 lakh.
The minister also said that to boost trading at the Calcutta Stock Exchange, incentives would be provided in the form of reduction in stamp duty on trading of shares so as to bring back investors and traders. The Finance Bill was passed by voice vote.